How a Vehicle Becomes a Certified Pre-Owned Car

How a Vehicle Becomes a Certified Pre-Owned Car By Alison Lakin, Associate Editor When you’d rather take a light dip into your savings to purchase a pre-owned car rather than a deep plunge into a new one, no longer do you have to be concerned about the quality of the vehicle you’re buying secondhand. Thanks to manufacturer’s certified pre-owned programs, the consumer has assurances that the used car they have been eying isn’t hiding faulty wiring, a blown head gasket or a spastic transmission.

These aren’t just random used cars. Keith Rey, General Manager of Marin Honda in Corte Madera, CA divulges the origin of certified pre-owned (CPO) cars: “Most of the vehicles that enter the CPO program are lease returns or cars that Honda has sold at a closed auction, which can only be attended by dealers.”

But, some may ask, what happens after the dealer acquires the cars? Well, they certainly aren’t just pulled into the lot to await buyers.

Deal BreakersSurprisingly, CPO programs aren’t regulated throughout the industry, and many manufacturers have different acceptance qualifications for their potential certified used cars. These include mileage and age maximums, as well as issues that can demand immediate disqualification, like the discovery of aftermarket parts, engine modifications and any sign of structural damage or odometer rollbacks.

If a car is more than eight years old it won’t qualify for any of the current CPO programs, and some manufacturers have even stricter age limits than that: Chevrolet rejects any cars more than five years old, and Lexus won’t accept those over the age of six.

Another basic prerequisite for certified status is the mileage limit. Manufacturers well known for their quality, like Toyota and Mercedes-Benz, reflect this distinction in their high maximum mileage allowance, ranging closer to the 100,000-mile marker than the industry average of 48,000-80,000 miles. Ford, for instance, requires less than 80,000 miles on the odometer for a car to enter their CPO program.

Rey reveals even more deal breakers: “a car must have a clean VIN check, a clear Carfax vehicle history report and needs to pass the certification process. It can’t have a branded title or lemon law against it either.” The dealer must confirm that none of these issues are a problem before continuing to the inspection stage.

Point-by-Point Inspection ProcessOnce a car upholds the first round of requirements, it must go through a mechanical and cosmetic inspection. Again, each manufacturer has slightly different standards to which they uphold their CPOs, but detailed inspections of the entire vehicle are always mandatory and standardized within the company.

The mechanic runs through a compulsory checklist to confirm the car is in proper condition. Everything from the minor - ‘license plate lights work’ to the serious - ‘brakes operational’...

If you’re in the market for a good used car, you may have noticed a preponderance of certified pre-owned, or CPO , rides out there. Wondering whether luxury CPO or economy CPO is a better buy? DriverSide is here to help.